By Travis Reynolds, Vice President, Public Policy
After months of negotiations, the 89th Texas Legislature passed—and Gov. Greg Abbott signed—a $338 billion two-year budget, along with a $13 billion supplemental budget. These historic investments reflect a clear focus by Texas lawmakers on the long-term health of our state.
By prioritizing infrastructure, workforce development, and long-term resilience, Senate Bill 1 and House Bill 500 have built on recent legislative successes while laying the foundation for the “Texas Miracle” to continue for years to come.
DRC advocacy delivers results
For 140 days of the legislative session, your DRC Public Policy team was on the ground and at the table in Austin to ensure the Dallas Region business community had a voice in the state’s budget. We were successful in helping to bring home more than $62 billion in state investment related to the DRC’s public policy priorities.
This $62 billion spans everything from the largest transportation investment in state history to property tax relief, education funding, broadband expansion, cybersecurity, health care research, and targeted North Texas projects that support health and safe communities.
While all of these appropriations have the potential for transformative impacts on the Dallas Region’s economy and quality of life, three stand out as particularly game-changing for our region’s future.
Three game-changing investments
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- Texas Water Fund – $2.5 billion
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Water is the limiting factor for growth in many parts of Texas, and the Dallas Region is no exception. The Legislature’s $2.5 billion investment in the Texas Water Fund—backed by an additional $1 billion in annual funding for the next 20 years—represents a long-overdue down payment on our state’s water security.
This funding will support a range of initiatives, including reservoir development and aquifer storage, as well as aging infrastructure upgrades and conservation programs. For the Dallas Region, this means companies have less risk of development delays due to water constraints, and we can continue to grow without outpacing our most vital resource.
2. Texas Energy Fund – $5 billion
Reliable, on-demand power is a top concern for companies in the Dallas Region and also those considering relocating here. The $5 billion investment in the Texas Energy Fund will support the expansion of generation capacity, boost grid reliability, and help reduce costly power disruptions.
With the Dallas Region leading the state in corporate relocations, data center expansions, and high-tech manufacturing growth, this investment helps ensure our grid can keep pace with demand while providing companies with more predictable energy costs and fewer operational disruptions.
3. Texas Education Agency – $8.5 billion
As talent remains a top concern for employers in our rapidly growing region, the $8.5 billion in new funding for public education helps ensure our students have the resources they need to meet future workforce demands.
Strategic foundation for continued success
When all added up, these investments represent more than just line items in a budget—they represent a strategic commitment to the long-term competitiveness of the Dallas Region and our great state.
From securing our water future and modernizing our power grid to investing in the next generation of talent, the decisions made by this Legislature will have lasting impacts on our economy, community, and quality of life.
The budget is approved, but the work isn’t done. Now, we turn our attention to working closely with state leaders and local stakeholders to ensure that these dollars are implemented effectively and that the Dallas Region remains a driver of Texas’ continued success.
Does a portion of funding in the new state budget present an opportunity for your company? I’d love to hear about it. Send me an email anytime.